INTU Intuit Inc

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

 

FORM SD

 

 

Specialized Disclosure Report

 

 

INTUIT INC.

(Exact Name of Registrant as Specified in its Charter)

 

 

 

Delaware		000-21180		77-0034661
(State or other Jurisdiction of Incorporation or Organization)		(Commission File Number)		(I.R.S. Employer Identification No.)

2700 Coast Avenue

Mountain View, CA 94043

(Address of Principal Executive Offices)

(Zip Code)

Kerry McLean

Vice President, Deputy General Counsel

(650) 944-6000

(Name and telephone number, including area code, of the person to contact in connection with this report)

 

 

Check the appropriate box to indicate the rule pursuant to which this form is being filed, and provide the period to which the information in this form applies:

 

x	Rule 13p-1 under the Securities Exchange Act (17 CFR 240.13p-1) for the reporting period from January 1 to December 31, 2014.

 

 

 

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Section 1 – Conflict Minerals Disclosure

Items 1.01 and 1.02 Conflict Minerals Disclosure and Report; Exhibit

Conflict Minerals Disclosure

A copy of Intuit Inc.’s Conflict Minerals Report is filed as Exhibit 1.01 hereto and is publicly available at http://www.intuit.com/company/strategic-sourcing/supplier-policies/.

Section 2 – Exhibits

Item 2.01 Exhibits

The following exhibit is filed as part of this report:

Exhibit 1.01 – Conflict Minerals Report as required by Item 1.01 of this Form.

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 

Date: June 1, 2015				INTUIT INC.
				By:		/s/ R. Neil Williams
						Name: R. Neil Williams
						Title:   SVP and Chief Financial Officer

Exhibit 1.01

Intuit Inc.

Conflict Minerals Report

For The Year Ended December 31, 2014

This is the Conflict Minerals Report (the “CMR”) of Intuit Inc. (“Intuit”) for the calendar year 2014 in accordance with Rule 13p-1 under the Securities Exchange Act of 1934, as amended.

Introduction and Products Overview

Intuit creates business and financial management software solutions that simplify the business of life for small businesses, consumers and accounting professionals. Its flagship products and services include software products such as QuickBooks^®, Quicken^® and TurboTax^®, which make it easier to manage small businesses and payroll processing, personal finance, and tax preparation and filing. Mint.com provides a fresh, easy and intelligent way for people to manage their money, while Demandforce^® offers marketing and communication tools for small businesses. ProSeries^® and Lacerte^® are Intuit’s leading tax preparation offerings for professional accountants. Intuit has reviewed the products it distributes and has determined that none of its software products (including software products that are distributed on CDs as well as software products distributed through downloading or as a cloud-based service) contain “conflict minerals” or “3TGs” (defined in Item 1.01 of Form SD as columbite-tantalite (coltan), cassiterite, gold, wolframite and their derivatives, which are limited to tantalum, tin and tungsten).

In addition to these core software offerings which account for in excess of 95% of Intuit’s revenue, Intuit also distributes a certain payment dongle that attaches to smart phones, tablets and Bluetooth card readers that allows merchants to process credit card payments (the “Intuit Payment Devices”). For the 2014 reporting period, the only product that Intuit manufactured or contracted to manufacture containing conflict minerals that are necessary to the functionality or production of such products are the Intuit Payment Devices.

Due Diligence Investigation

Intuit’s due diligence program was designed to conform, in all material respects, to the five-step framework laid out in the Organisation for Economic Co-operation and Development (“OECD”) Due Diligence Guidance for Responsible Supply Chains of Minerals from Conflict-Affected and High-Risk Areas and related Supplements on Tin, Tantalum and Tungsten and on Gold (the “OECD Guidance”). In accordance with the OECD Guidance, we took the following measures as part of our due diligence process.

Establish Strong Company Management Systems

Intuit has established strong company management systems relating to conflict minerals. In January 2013, a dedicated working group was comprised of subject matter experts within the Supply Chain organization and Legal teams, and this working group has met regularly since its formation 2 years ago. The working group has reported regularly on progress to a disclosure committee of senior executives, including the Chief Financial Officer, Chief Accounting Officer and General Counsel and has also updated the Audit Committee and Nominating and Governance Committee of the Board of Directors. Management has also developed a Conflict Minerals Policy that is posted at http://www.intuit.com/company/strategic-sourcing/supplier-policies/conflict-minerals/ to clearly communicate Intuit’s commitment to developing and maintaining a conflict free mineral supply chain to its suppliers and the public.

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In addition, we maintain a company-level grievance mechanism, as described in our Code of Conduct and Ethics, that enables employees to report concerns, including any concerns regarding Intuit’s conflict minerals supply chain. Intuit also maintains an integrity hotline that third parties can use to report on financial and ethical issues, including issues concerning our conflict minerals supply chain. The number for this hotline is posted on Intuit’s website at http://investors.intuit.com/corporate-governance/conduct-and-guidelines/report-concerns-about-financial-or-ethical-issues/default.aspx.

Since Intuit contracts to manufacture the Intuit Payment Devices with a supplier that is at least four levels removed from the actual mining of the 3TGs, Intuit has leveraged its sole direct supplier (the “Tier One Supplier”) to provide information regarding the 3TG contained in those products, and the Tier One Supplier is similarly reliant upon information provided by its suppliers. Intuit has continued to work with its Tier One Supplier to establish controls over and transparency for its 3TG supply chain. In this process, Intuit used the due diligence tools developed by the Conflict-Free Sourcing Initiative (“CFSI”), including the CFSI’s Conflict Minerals Reporting Template (the “Template”), which is designed to identify the smelters and refiners that process the conflict minerals in a company’s supply chain.

Identify and Assess Risk in the Supply Chain.

Intuit required its Tier One Supplier to disclose the original equipment manufacturers (“OEMs”) that manufacture all of the components in the Intuit Payment Devices, and Intuit required all of the identified OEMs to complete the Template. Intuit has identified three OEMs that provide components to the Tier One Supplier, and all of these have submitted the Template to Intuit. In addition, as a supplemental measure in 2014, Intuit requested and received a completed Template from the contract manufacturer responsible for packaging the OEM components for Intuit Payment Devices. Once Intuit received the completed Templates, Intuit reviewed the Templates for completeness, accuracy and consistency. Where the Templates identified smelter and refiner facilities as sources of an OEM’s 3TG, Intuit compared the identified smelters and refiners against the list of compliant smelters and refiners published by CFSI’s Conflict Free Smelter Program.

Based on the responses received, Intuit has determined that the OEM component manufacturers obtain their components from a mix of certified conflict free smelters as well as smelters that have not yet been certified as conflict free. As a result, the primary risk in Intuit’s supply chain is the lack of complete information on the origin of the components and the resulting inability of its Tier One Supplier to find OEM manufacturers that can certify that the 3TGs contained in the components utilized in the Intuit Payment Devices are sourced exclusively from certified conflict free smelters.

Design and Implement a Strategy to Respond to Identified Risks

Intuit’s strategy to respond to the identified risks in its supply chain focuses on implementing requirements that its Tier One Suppliers source the components in the Intuit Payment Devices from smelters and refiners certified under CFSI’s Conflict Free Smelter Program wherever possible. In this regard, where Template responses indicate that suppliers are not using certified conflict-free sources, we engaged with the Tier One Supplier and/or OEM to encourage them to establish an alternative source of conflict minerals. Intuit also amended agreements with the Tier One Supplier to strengthen the contractual requirements to source from certified conflict free sources, and has implemented best practices within its supply chain group on contractual requirements for any new suppliers that Intuit may contract with in the future.

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Support Independent Third-Party Audit of Supply Chain Due Diligence

Intuit does not have direct relationships with smelters and refiners and does not perform direct audits of these entities’ supply chains for 3TGs. However, Intuit supports the development of, and smelters’ and refiners’ participation in, independent third party audits of smelters’ and refiners’ sourcing practices, such as the CFSI’s Conflict-Free Smelter Program.

Report on Supply Chain Diligence

Intuit is committed to full and transparent disclosure of its efforts to facilitate the sourcing of conflict-free minerals for its products. This CMR is available on Intuit’s website at http://www.intuit.com/company/strategic-sourcing/supplier-policies/. Intuit will also post any developments with respect to conflict minerals that are material to its business on its website, under the Conflict Minerals Policy tab.

Results of Due Diligence

A large percentage of the OEMs indicated that they were unable to provide at least some of the information requested in the Template, and that they are still completing due diligence on their supply chains, particularly with respect to information about the smelters and refiners in their supply chains. Intuit’s efforts to determine the mine or location of origin of the conflict minerals in the Intuit Payment Devices with the greatest possible specificity consisted of the due diligence measures described in this CMR, including our efforts to seek information from OEMs using the Template.

Although Intuit requested information at a product level, almost all supplier responses provided information at a company or division level, but not at a product level, and, therefore, the information provided was not necessarily limited to smelters or refiners confirmed to be in Intuit’s supply chain. In addition, many of the supplier responses were still incomplete as all supply chain participants continue to map their upstream supply chains. As a result, Intuit is unable to validate whether the facilities identified by the OEMs, which are listed in Annex A below, in fact contributed conflict minerals to Intuit Payment Devices. Annex B below includes an aggregated list of the countries of origin from which the facilities listed in Annex A are known to source conflict minerals, based on information provided by suppliers and CFSI.

Additional Mitigation Efforts

Intuit is a member of the Electronic Industry Citizenship Coalition (the “EICC”) and has developed procedures consistent with the EICC recommendations for responsible sourcing of conflict minerals, as set forth in the OECD Guidance. Intuit also attends the weekly EICC Conflict Minerals Due Diligence Calls chaired by the EICC and has implemented the best practices that are relevant to its supply chain that have been developed by the CFSI. As an active member of the EICC, Intuit will continue to monitor and implement relevant best practices recommendations from the EICC as well as conflict mineral trends that impact Intuit’s business.

Further Intuit:

 

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Conducts benchmarking sessions with manufacturers and other technology companies in Silicon Valley;

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Sets up Webinars with its suppliers to address concerns and questions; and

 

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Continues to work with suppliers to ensure that they have robust due diligence practices.

In addition, in order to improve on the quality of information provided by its supply chain, as discussed above Intuit has already amended its agreements with its Tier One Supplier to strengthen the contractual requirements to source from certified conflict-free sources. Intuit will require the inclusion of similar provisions in its agreements with new suppliers, and if such prospective supplier is unable to make this certification, Intuit will seek out alternative suppliers if alternative suppliers are available that can make such certification.

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ANNEX A

2014 Facility List

The following is a list of the facilities that the suppliers we surveyed reported as being in their supply chains.

 

Mineral		Facility Name		Facility Location
Gold		Aida Chemical Industries Co. Ltd.		JAPAN
Gold		Allgemeine Gold-und Silberscheideanstalt A.G.		GERMANY
Gold		Argor-Heraeus SA		SWITZERLAND
Gold		Asahi Pretec Corporation		JAPAN
Gold		Asaka Riken Co Ltd		JAPAN
Gold		Caridad		MEXICO
Gold		Chugai Mining		JAPAN
Gold		Codelco		CHILE
Gold		Daejin Indus Co. Ltd		KOREA, REPUBLIC OF
Gold		DaeryongENC		KOREA, REPUBLIC OF
Gold		Do Sung Corporation		KOREA, REPUBLIC OF
Gold		Dowa		JAPAN
Gold		Heraeus Ltd. Hong Kong		HONG KONG
Gold		Heraeus Precious Metals GmbH & Co. KG		GERMANY
Gold		Hwasung CJ Co. Ltd		KOREA, REPUBLIC OF
Gold		Ishifuku Metal Industry Co., Ltd.		JAPAN
Gold		Johnson Matthey Inc		UNITED STATES
Gold		Johnson Matthey Ltd		CANADA
Gold		JX Nippon Mining & Metals Co., Ltd.		JAPAN
Gold		Kojima Chemicals Co., Ltd		JAPAN
Gold		Korea Metal Co. Ltd		KOREA, REPUBLIC OF
Gold		LS-NIKKO Copper Inc.		KOREA, REPUBLIC OF
Gold		Materion		UNITED STATES
Gold		Matsuda Sangyo Co., Ltd.		JAPAN
Gold		Metalor Switzerland		SWITZERLAND
Gold		Metalor Technologies (Hong Kong) Ltd		HONG KONG
Gold		Metalor Technologies (Singapore) Pte. Ltd.		SINGAPORE
Gold		Metalor Technologies SA		SWITZERLAND
Gold		Metalor USA Refining Corporation		UNITED STATES
Gold		Mitsubishi Materials Corporation		JAPAN

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Mineral		Facility Name		Facility Location
Gold		Mitsui Mining and Smelting Co., Ltd.		JAPAN
Gold		Navoi Mining and Metallurgical Combinat		UZBEKISTAN
Gold		Nihon Material Co. LTD		JAPAN
Gold		Ohio Precious Metals, LLC		UNITED STATES
Gold		Royal Canadian Mint		CANADA
Gold		Sabin Metal Corp.		UNITED STATES
Gold		SAMWON METALS Corp.		KOREA, REPUBLIC OF
Gold		Shandong Zhaojin Gold & Silver Refinery Co. Ltd		CHINA
Gold		Solar Applied Materials Technology Corp.		TAIWAN
Gold		Sumitomo Metal Mining Co., Ltd.		JAPAN
Gold		Tanaka Kikinzoku Kogyo K.K.		JAPAN
Gold		Umicore SA Business Unit Precious Metals Refining		BELGIUM
Gold		Yokohama Metal Co Ltd		JAPAN
Gold		Zhongyuan Gold Smelter of Zhongjin Gold Corporation		CHINA
Tantalum		Exotech Inc.		UNITED STATES
Tantalum		F&X Electro-Materials Ltd.		CHINA
Tantalum		Global Advanced Metals		UNITED STATES
Tantalum		H.C. Starck Group		GERMANY
Tantalum		Mitsui Mining & Smelting		JAPAN
Tantalum		Ningxia Orient Tantalum Industry Co., Ltd.		CHINA
Tantalum		Solikamsk Metal Works		RUSSIAN FEDERATION
Tantalum		Ulba		KAZAKHSTAN
Tantalum		Zhuzhou Cement Carbide		CHINA
Tin		Alpha		UNITED STATES
Tin		Cooper Santa		BRAZIL
Tin		CV United Smelting		INDONESIA
Tin		EM Vinto		BOLIVIA
Tin		Gejiu Non-Ferrous Metal Processing Co. Ltd.		CHINA
Tin		Gejiu Zi-Li		CHINA
Tin		Gold Bell Group		CHINA
Tin		Liuzhou China Tin		CHINA
Tin		Malaysia Smelting Corporation (MSC)		MALAYSIA
Tin		Metallo Chimique		BELGIUM

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Mineral		Facility Name		Facility Location
Tin		Mineração Taboca S.A.		BRAZIL
Tin		Minsur		PERU
Tin		Mitsubishi Materials Corporation		JAPAN
Tin		OMSA		BOLIVIA
Tin		PT Bangka Kudai Tin		INDONESIA
Tin		PT Bangka Putra Karya		INDONESIA
Tin		PT Belitung Industri Sejahtera		INDONESIA
Tin		PT Bukit Timah		INDONESIA
Tin		PT Eunindo Usaha Mandiri		INDONESIA
Tin		PT HP Metals Indonesia		INDONESIA
Tin		PT Koba Tin		INDONESIA
Tin		PT Mitra Stania Prima		INDONESIA
Tin		PT Sariwiguna Binasentosa		INDONESIA
Tin		PT Stanindo Inti Perkasa		INDONESIA
Tin		PT Tambang Timah		INDONESIA
Tin		PT Timah (Persero), Tbk		INDONESIA
Tin		PT Timah Nusantara		INDONESIA
Tin		PT Tinindo Inter Nusa		INDONESIA
Tin		Thaisarco		THAILAND
Tin		White Solder Metalurgia e Mineração Ltda.		BRAZIL
Tin		Yunnan Chengfeng Non-ferrous Metals Co.,Ltd.		CHINA
Tin		Yunnan Tin Company, Ltd.		CHINA
Tungsten		China Minmetals Corp		CHINA
Tungsten		China Minmetals Nonferrous Metals Co Ltd		CHINA
Tungsten		Chongyi Zhangyuan Tungsten Co Ltd		CHINA
Tungsten		Dayu Weiliang Tungsten Co., Ltd.		CHINA
Tungsten		DAYU WEILIANG TUNGSTEN CO.,LTD		CHINA
Tungsten		Fujian Jinxin Tungsten Co., Ltd.		CHINA
Tungsten		Ganzhou Grand Sea W & Mo Group Co Ltd		CHINA
Tungsten		Ganzhou Huaxing Tungsten Products Co., Ltd.		CHINA
Tungsten		Ganzhou Seadragon W & Mo Co., Ltd.		CHINA
Tungsten		Global Tungsten & Powders Corp.		UNITED STATES
Tungsten		HC Starck GmbH		GERMANY

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Mineral		Facility Name		Facility Location
Tungsten		Hunan Chunchang Nonferrous Metals Co., Ltd.		CHINA
Tungsten		Japan New Metals Co Ltd		JAPAN
Tungsten		Jiangxi Rare Earth & Rare Metals Tungsten Group Corp		CHINA
Tungsten		Jiangxi Tungsten Industry Group Co Ltd		CHINA
Tungsten		Kennametal Huntsville		UNITED STATES
Tungsten		Kennemetal Inc		UNITED STATES
Tungsten		Wolfram Company CJSC		RUSSIAN FEDERATION
Tungsten		Xiamen Tungsten (H.C.) Co., Ltd.		CHINA
Tungsten		Xiamen Tungsten Co., Ltd.		CHINA
Tungsten		Zhuzhou Cemented Carbide Group Co Ltd		CHINA

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ANNEX B

Countries of origin of the conflict minerals that the facilities listed in Annex A process are believed to include the following countries, based on information provided by suppliers and CFSI:

 

Angola		Luxembourg
Argentina		Madagascar
Australia		Malaysia
Austria		Mongolia
Belgium		Mozambique
Bolivia		Myanmar
Brazil		Namibia
Burundi		Netherlands
Canada		Nigeria
Central African Republic		Peru
Chile		Portugal
China		Rwanda
Columbia		Republic of Congo
Czech Republic		Russia
Djibouti		Sierra Leone
Egypt		Singapore
Estonia		Slovakia
Ethiopia		South Africa
France		South Korea
Germany		South Sudan
Guyana		Spain
Hungary		Suriname
India		Switzerland
Indonesia		Taiwan
Ireland		Tanzania
Israel		Uganda
Ivory Coast		United Kingdom
Japan		United States of America
Kazakhstan		Vietnam
Kenya		Zambia
Laos		Zimbabwe